Metro Vancouver's real estate market saw more buyers stepping in during August, thanks to prices that became a bit more manageable. This led to a slight increase in home sales compared to last year.
Key Takeaways
- Home sales on the MLS® system were up nearly 3% compared to August 2024.
- Sales for detached and attached homes saw an increase of over 10%.
- The number of homes listed for sale was up 3% from last year and 1% above the seasonal average.
- The market ended August in balanced conditions, with a sales-to-active-listings ratio of 12% overall.
- The MLS® HPI benchmark price for all housing types is down 4% from last year.
August Sales Activity
In August, realtors recorded just under 2,000 home sales across the MLS® system. This represents a 3% jump from August 2024. What's interesting is that sales in the detached and attached home categories both saw increases of over 10%. This suggests that buyers in these specific markets are getting back into the game more actively.
Housing Supply in August
On the supply side, sellers put just over 4,200 homes on the market in August. This is a 3% increase compared to the same month in 2024 and is also 1% higher than the usual number of listings for this time of year. By the end of the month, there were over 16,200 homes listed for sale on the MLS®, which is a significant 37% above the typical seasonal average.
Understanding Market Balance
When sellers' and buyers' expectations start to line up better, demand tends to pick up. This has been a factor in the slow recovery we've seen over the past few months. We can get a sense of this balance by looking at the sales-to-active-listings ratio. This ratio compares the number of homes available for sale to the number of homes sold during the month, giving us an idea of supply and demand.
Historically, when this ratio stays below 12% for a while, it usually means prices are likely to go down. On the flip side, if the ratio goes above 20% for several months, prices tend to go up. Right now, the overall market is in balanced conditions. August wrapped up with this ratio at 12% for all types of homes.
Here's how it broke down by property type:
- Detached homes: 9%
- Attached homes: 16%
- Apartments: 14%
Home Prices in August
Looking at prices, the MLS® HPI benchmark price for all housing types in Metro Vancouver was $1,150,000. This is 4% lower than it was at this time last year.
Here are the benchmark prices by property type:
- Detached homes: $1,950,000
- Townhomes: $1,080,000
- Apartments: $734,000
What's Next for the Market?
While the number of new homes listed is pretty much in line with the 10-year seasonal average, the increase in sales activity means that the number of homes available for sale might start to decrease. This could mean that the current window of opportunity for buyers might start to close if these trends continue. For more details on the housing market, check out the market watch section on our website.
